Section 17

All rights, liabilities and obligations of the Government pertaining to any matter or thing which fall under or within the areas of jurisdiction of the District Officers of Kota Kinabalu,

Sandakan, Labuan and Tawau shall, on the commencement of this Enactment, become the rights obligations and liabilities of the Kota Kinabalu Municipal Council, Sandakan Municipal and Tawau Municipal as the case may be.

Existing employees.